Eaton Corp. Business Report FY2011
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-Net sales increased 13% in 2011 compared to 2010 due to an increase in core sales of 12% and an increase of 2% from the favorable impact of foreign exchange, offset by a 1% decrease related to a business divestiture. The increase in core sales in 2011 is due to the continued rebound in global automotive markets.
-Net sales increased 32% in 2011 compared to 2010 due to an increase in core sales of 29% and an increase of 3% from the favorable impact of foreign exchange. The increase in core sales reflects the continuing rebound in global end markets and in particular strong growth in the NAFTA Class 8 truck market.
-The Company and Dana Holding Corporation announced that the marketing relationship between the two companies will end by the middle of 2012. Over the next six months, each company will be preparing to sell and service customers independently of each other. The Company will continue to provide field service and support for all the Company's and Dana products through the middle of 2012 under the Roadranger brand. Dana will have the support systems in place to service its customers directly. (From a press release on December 6, 2011)
-The Company announced that as part of Energy 376 Corridor project, the deployment of 45 new electric vehicle (EV) charging stations along Interstate 376 in Pennsylvania, U.S. made possible by a 238,467 dollars Pittsburgh Region Clean Cities (PRCC) grant received from the Pennsylvania Department of Environmental Protection, and a private investment of approximately 400,000 dollars. Energy 376 Corridor, a collaboration project of 19 regional public and private entities, is expected to displace an estimated 79,463 gallons of fuel per year and provide annual emissions reductions of 916,046 pounds of greenhouse gases. (From a press release on November 4, 2011)
-The Company announced that customers of its hybrid systems have collectively accumulated more than 200 million miles of service, reducing diesel fuel consumption by 8 million gallons and harmful emissions by 80,000 metric tons. More than 5,500 of the Compamy's hybrid systems are in use today on city buses, school buses, package delivery trucks, beverage delivery trucks, refrigerated delivery trucks, refuse and recycling trucks, utility vehicles and other commercial applications. (From a press release on October 11, 2011)
-The Company is expanding its line of direct current (DC) molded case circuit breakers in response to increased fault current requirements. Designed to meet data center, photovoltaic, and electric vehicles applications, the breakers are rated for voltages up to 600 volts (V) DC. The Company's DC circuit breakers are reusable after clearing an electrical fault. (From a press release on April 14, 2011)
Contract-The Company announced the installation of six Pow-R-Station electric vehicle charging stations for the Ohio Statehouse. The charging stations take a typical electric car battery from zero to full in six to eight hours. (From a press release on October 5, 2011)
-The Company announced it will showcase its full line of electric vehicle (EV) charging technologies at the 2011 Plug-In Conference and Exposition in Raleigh, North Carolina, U.S. July 18-21. In 2010, Eaton provided the City of Raleigh with three high-speed Pow-R-Station charging stations. Eaton has also participated in the U.S. non-profit organization Plug-In Carolina initiative, which enabled deployment of charging station installations throughout South Carolina. Eaton is also collaborating with Mitsubishi Motors North America, Inc., (MMNA) and the electronics retailer, Best Buy Co., Inc., to help facilitate and enhance electric vehicle ownership by providing chargers for Mitsubishi's MiEV vehicle, which goes on sale in the fall of 2011. (From a press release on July 14, 2011)
-The Company announced that has signed a long term agreement to design and supply Argentine bus manufacturer Tecnologia Avanzada en Transporte S. A. (TATSA) with a hybrid electric power system for use in buses in Argentina and throughout South America. The companies will work closely to match Eaton's hybrid system to TATSA's 12 meter bus model. The hybrid system combines a Cummins diesel engine with an electric motor that has a peak power output of 44 kilowatt. The Company matches the system to an automated six-speed Eaton transmission and stores energy in four lithium-ion batteries. (From a press release on May 2, 2011)
-The Company announced the approval of its new UltraShift PLUS automated manual transmissions as an option for Volvo Truck North America's VN series heavy-duty linehaul vehicles with Cummins diesel engines. With this decision, Volvo joins other truck manufacturers Freightliner, International, Peterbilt and Kenworth in offering Eaton's latest generation of automated transmissions to customers. Volvo has approved the Company's earlier automated manual transmission offerings – the AutoShift and UltraShift – as well as the Company's Fuller manual transmissions. (From a press release on March 31, 2011)
-The Company announced the commercial availability of its hybrid electric power systems for Navistar's IC Bus brand school buses. The IC Bus CE Series hybrid diesel-electric school bus can provide up to a 30 percent improvement in fuel economy, up to 35 percent reduction of NOx emissions and up to 85 percent reduction of diesel particulates. The hybrid system combines the MaxxForce DT with MaxxForce Advanced EGR (exhaust gas recirculation) with an electric motor that has a peak power output of 44 kilowatt. (From a press release on February 9, 2011)
Outlook for 2012-As of late February, the Company estimates its end markets for all of 2012 will grow 5%, with markets in all six segments registering growth. The Company anticipates that it will outgrow its end markets in 2012 by approximately 320 million dollars in Net sales. The incremental revenues in 2012 from recent acquisitions of businesses, net of a divestiture in 2011, are expected to total 315 million dollars. Overall, Eaton anticipates its revenues in 2012 will grow by 6% compared to 2011.
-End markets for the Automotive segment are expected to grow 5% in 2012, with United States automotive production up 7% and non-United States production up 4%.
-End markets for the Truck segment are expected to grow 9% in 2012, with United States markets up 16% and non-United States markets up 4%.
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-The Company holds Power Systems Experience Center (PSEC), which is a test facility and a laboratory for the Company's electrical products.
-The Company has a new innovation center in Shanghai, China. The center focuses on the areas of vehicle electrification and smart grid.
-The Company has announced the availability of its new electronic multiplex switch module for buses, recreational, emergency, street sweepers and other specialty vehicles. The Company's multiplexing technology allows users to reduce the complexity and cost of wire harnesses with a digital semiconductor to reduce the overall weight of the vehicle. Reduced wiring translates into more space in the cab, lower system costs and less installation time. (From a press release on March 17, 2011)
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Investment Outside USA
-The Company announced that it will open a new engine valve production facility in Jining, Shandong Province, China. The new facility will start production in September 2011 and will provide engine valves for automotive customers in the Chinese market. The Company has announced a new five-year sales goal of 2 billion dollars in revenue in China by the end of 2015, doubling its 2010 revenue of 1 billion dollars in the country. (From a press release on August 11, 2011)